Stop Trading!: Price Increase in Aisle Nine

Cramer’s bullish on Clorox now that the company’s price increases are showing up in quarterly earnings.

First-quarter profits increased 15% because of those increases, as well as lower energy costs. The Bert’s Bees integration also is going well for Clorox , which is “finally ready to roar,” Cramer said during Friday’s Stop Trading!.

Kimberly-Clark has yet to follow Clorox’s lead, but Cramer thinks KMB and others in the sector should fall in line soon enough.

Clorox is also a good play because it doesn’t have as much weak-dollar exposure as a company like Avon, which does a lot of business overseas.

A few aisles over from the Clorox products, you’d find Johnson & Johnson, a company Cramer called “probably the most pristine franchise of all.” So he was disappointed with an early week analyst downgrade of JNJ. While the company does have weak-dollar exposure, this is a stock that will perform well whether the market ramps up or heads lower again.

VF Corp. got a thumbs-up from Cramer as well. The stock has dropped $30, but WFC has lowered its expectations enough that good business from the cold spell we’ve seen recently could offer a much-needed boost. Plus, oil prices are down and people are more willing to spend money.

Lastly, Cramer said that unlike Capital One, Mastercard and Visa don’t loan money to consumers. So neither company needs to worry about credit card defaults. MA and V are plays on transaction counts and the switch from paper to plastic. Any declines in these stocks were probably due to massive hedge fund and mutual fund selling.